The Japanese billionaire and Softbank founder Masayoshi Son also happens to be the person who has the highest ever financial loss in history
October 13, 2017 / 12:47 PM IST
SoftBank Group CEO Masayoshi Son
It seems everything comes at a price, and so did Masayoshi Son’s wealth.
In an interview with Bloomberg on the David Rubenstein show, Japanese tech titan Masayoshi Son revealed that although he ended up making a lot of money, he also lost a lot on the way.
At the height of the dot-com bubble, Masayoshi Son’s worth was surging by USD 10 billion per week, which comes to around USD 1.4 billion per day.
This means that in present-day prices with that amount of money he could afford to buy41 Audi A8Ls (worth Rs 9.15 crore) every hour or 23 bungalowsworth an average of Rs 400 crore each in Lutyen's area of Delhi every day or over 31,000 kilograms of gold in a day.
At that time he was also the richest person alive.
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But Son’s fairytale didn’t last long. After the dot-com bubble burst, his company Softbank’s shares plunged 75 percent in two months and was 93 percent lower by the end of 2000.
The business almost went bankrupt and Son ended up losing USD 70 billion, the highest ever recorded financial loss for a person in history.
“Somehow, I survived,” Son said in the interview on The David Rubenstein show.
What ended up saving the Softbank founder was his foresight
Also Read: 7 key things to know about SoftBank’s $100 billion Vision Fund
To pursue that vision, Son decided to take over a mobile carrier, and after several hurdles managed to acquire Vodafone Japan in 2006, and that became the revolutionary deal that turned SoftBank around.
Ever since, Son has been on a rise.
Son, who became a billionaire in 2013, is presently worth USD 15.8 billion and is among the 100 richest people in the world.
Son currently invests billions in tech companies each year, and he likes betting on the future by investing in companies that are doing work in the Internet of Things, artificial intelligence and robotics. He recently promised US president Donald Trump of a USD 50 billion fresh investment in Silicon Valley companies.
His wealth can presently buy 280 million barrels of crude oil.
In India, Masayoshi Son has promised Prime Minister Narendra Modi of a USD 10 billion investment from Softbank's “Vision Fund” into the technology sector and has already acquired stakes in Paytm, Flipkart, Snapdeal, Ola and Grofers, among others.
Son's obsession with the future has also made him lay out a 300-year plan for Softbank.
“There are good times and bad times but SoftBank is always there,” said Masayoshi Son during his visit to New Delhi in December 2016.
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first published: Oct 13, 2017 12:47 pm
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As an enthusiast and expert in finance, particularly in the realm of business magnates and investment strategies, I've closely followed the career trajectory of Masayoshi Son, the founder of SoftBank Group. Son's journey is a testament to the volatile nature of financial markets and the resilience required in navigating extreme highs and lows.
The article highlights Masayoshi Son's remarkable ascent to becoming the richest person during the dot-com bubble, where his wealth surged astronomically by USD 10 billion per week. However, this soaring success was accompanied by an equally staggering downfall when the bubble burst. SoftBank's shares plummeted, leading to Son's monumental loss of USD 70 billion, marking it as the highest ever recorded financial loss for an individual in history.
Despite this catastrophic setback, Son's resilience and foresight played a pivotal role in reviving SoftBank's fortunes. His strategic acquisition of Vodafone Japan in 2006 signaled a turning point for the company, steering it away from the brink of bankruptcy. Since then, he has steadily rebuilt his wealth and reputation by investing in various tech companies, focusing on future-oriented sectors such as the Internet of Things (IoT), artificial intelligence (AI), and robotics.
Son's visionary approach has not only restored his financial standing but also propelled him to continually invest billions in the technology sector, including significant stakes in prominent Indian companies like Paytm, Flipkart, Snapdeal, Ola, and Grofers. His commitment to the future is evident in SoftBank's 300-year plan, emphasizing the enduring presence and adaptability of the company through changing times.
Furthermore, Son's recent promises of substantial investments in Silicon Valley companies and the technology sector in India, coupled with his impressive net worth of USD 15.8 billion, reflect his unwavering dedication to driving innovation and shaping the future of technology globally.
In conclusion, Masayoshi Son's journey from the pinnacle of wealth to the depths of financial loss and subsequent resurgence is a testament to his resilience, strategic acumen, and commitment to investing in the technological advancements that will shape the world for years to come. His story serves as an enduring lesson in perseverance and forward-thinking in the volatile landscape of business and finance.
